They know there will be no actual closing and you will never be wiring any money into an escrow account so they need you to pay them directly. 

Quote from @Tom Server: "Buyer to receive $5000 credit at closing, Buyer agrees to replace subfloor with 3/4 plywood, mildew resistant and sound proof flooring insulator".. the actual subfloor is fine but its in the contract to install new subfloor anywayThis makes no sense, unless it’s a soundproofing condition mandated by the co-op.

I have a guy who has an avionics business that wants mezzanines built for office space, technician training rooms, rest rooms and etc..You actually hit on a great opportunity that is currently out of my budget limits and that is Air Park development.  

So your 'cost' would actually be 10.5% since your parents want to earn 5% but.........this method avoids this 'loan' showing on your DTI because the only people who know about the loan is the insurance company and the owner of the policy that took the loan.

Part of his argument was that everyone thinks the MLs has no deals, but that means very few people actually use it, because they think it has no deals.

If you can get them to sit down and figure out the actual losses they will take on paper, maybe it will sink in.

I think I remember watching an actual Bigger Pockets Youtube video of a young lady who does this. 

I have had ddiscussions with other investors where some of them said that there is no point in actually in starting the refi process until the maturity date due because then you will have a better idea of what the interest rates will be.

I am on every single wholesaler's list in our area-none of them actually have good deals.

As well, a number of my clients will actually ask their (or other) realtors as they might have good referrals.